Broadband provider BT (BT.A) cut its revenue, earnings and free cash flow forecasts for 2017 and 2018 as ‘inappropriate’ accounting behaviour in its Italian business was worse than expected.

An investigation had been launched, with auditor KPMG brought in, which resulted in a £145m adjustment of the business.

New information revealed a larger write-down of £530m and BT cannot rule out further revaluations for prior years, which unsettled investors and prompted a 17.6% sell-off in the shares to 315p.

Mobile phone retailer Dixons Carphone (DC.) was boosted by a strong Christmas quarter as it will now beat forecasts for the period. Dixons maintained guidance for the full year and reassured the market after a spate of recent profit warnings from UK high street operators.

Budget-friendly airline EasyJet (EZJ) reported first-quarter revenue, cost and passenger numbers met expectations but said forward bookings were ahead of last year. Investors were concerned about the impact of weak sterling on demand for overseas trips and marked the stock 9% lower.

FTSE 250 RISERS AND FALLERS

British housebuilder Crest Nicholson (CRST) maintained its plan to increase the number of homes it builds by the end of the decade after posting a 27% rise in full-year pretax profit.

Shares in its peer Bovis (BVS) nudged lower on dismissed reports that it was considering merging with London apartments builder Berkeley (BKG).

Soap maker PZ Cussons (PZC) failed to make a splash as half year sales and profits slid, triggering a 8.6% decline in the stock.

SMALL CAP RISERS AND FALLERS

Contract delays and volatile currency moves sparked a profit warning at petrol stations software supplier Kalibrate Technologies (KLBT), which wiped off nearly a third of its value.

Cancer treatment developer Advanced Oncotherapy (AVO) was informed by Sinophi Healthcare that it wished to terminate purchase orders from March and October 2015. Advanced Oncotherapy said it had no legal basis and plans to take appropriate action as its shares dropped 18%.

Iraqi Kurdistan oil producer Genel Energy (GENL) disappointed the market on expectations that its production will fall by more than a third this year. It announced it was unable to invest enough in expanding its oilfields due to ongoing conflict in the region.

North Sea-focused oil producer EnQuest (ENQ) agreed to buy a 25% stake in BP’s Magnus oil field and further interests in the Sullom Voe oil terminal and surrounding infrastructure.

Exceptional maiden full year results from automation technology play Blue Prism (PRSM) could not save the stock from falling 5% as investors took profit after a big rally since the IPO in March last year.

Strong results from regulations software designer Ideagen (IDEA) showed the company building on its core GRC markets and a return to double-digit organic growth in 2016.

iPhones products pusher Laird (LRD) confirmed underlying profit this year of £50m and that debts will not break banking covenants.

The market toasted ginger beer maker Fevertree (FVR) on expectations that it will ‘materially’ beat full year expectations due to stronger than expected trading.